For this purpose, BMW could reasonably rely on state disclosure statutes for guidance. Some 65 different enactments during the period between and provided for double, treble, or quadruple damages.
If the repair cost did not exceed 3 percent of the suggested retail price, however, the car was sold as new without advising the dealer that any repairs had been made. Gore purchased his car would require disclosure of similar repairs to a car before it was sold in Georgia.
Sanctions for Comparable Misconduct Comparing the punitive damages award and the civil or criminal penalties that could be imposed for comparable misconduct provides a third indicium of excessiveness. Facts[ edit ] The plaintiffDr. Gore alleged, inter alia, that the failure to disclose that the car had been repainted constituted suppression of a material fact.
First, he asserts that the state disclosure statutes supplement, rather than supplant, existing remedies for breach of contract and common law fraud.
In JanuaryDr. Beer Institute, U. After driving the car for approximately nine months, and without noticing any flaws in its appearance, Dr. The company introduced evidence to establish that its nondisclosure policy was consistent with the laws of roughly 25 States defining the disclosure obligations of automobile manufacturers, distributors, and dealers.
New York, U. The parties presumed that the damage was caused by exposure to acid rain during transit between the manufacturing plant in Germany and the preparation center.
New York requires disclosure when the cost of repairs exceeds 5 percent of suggested retail price. Because we believed that a review of this case would help to illuminate "the character of the standard that will identify constitutionally excessive awards" of punitive damages, see Honda Motor Co.
But we have never held that a sentencing court could properly punish lawful conduct. Alabama does not have the power, however, to punish BMW for conduct that was lawful where it occurred and that had no impact on Alabama or its residents.
But the omission of a material fact may be less reprehensible than a deliberate false statement, particularly when there is a good faith basis for believing that no duty to disclose exists. The judgment is reversed, and the case is remanded for further proceedings not inconsistent with this opinion.
In any event, this consideration surely does not justify an abdication of our responsibility to enforce constitutional protections in an extraordinary case such as this one.
BMW also maintained that transactions in jurisdictions other than Alabama had no relevance to Dr. Gore by the Alabama Supreme Court is times the amount of his actual harm as determined by the jury. Gore asserted that the policy change demonstrated the efficacy of the punitive damages award.
It is appropriate, therefore, to reiterate our rejection of a categorical approach. The punitive damages resulted not only from Dr.
Brief for Respondent BMW of North America, Inc. v. Gore, U.S. (), was a United States Supreme Court case limiting punitive damages under the Due Process Clause of the Fourteenth Amendment.
Facts. The plaintiff, Dr. Ira Gore, bought a new BMW, and later discovered that the vehicle had. BMW of North America, Atlanta, Georgia. 69 likes. Car Dealership/5(24). Our Address. BMW of North America, LLC. Chestnut Ridge Road. Woodcliff Lake, NJ Customer Relations. BMW of North America, Inc., So.
2d (Ala. ), in which no punitive damages were awarded, the Alabama Supreme Court cited no such cases. In another portion of its opinion, So.
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